Moody's rates Titan notes B1

Moody's Investors Service said it assigned a rating of B1 (LGD 3, 36%) to Titan International Inc.'s planned $175 million guaranteed senior secured notes due 2017.

Titan's corporate family and probability of default rating of B2, speculative grade liquidity of SGL-2 and B2 rating on its $140 million guaranteed senior unsecured notes due 2012 were affirmed.

The outlook was changed to stable from negative.

The ratings encompass high leverage, moderate scale and a strong market position within niche tire markets, Moody's said.

The rating also benefits from a good liquidity profile that provides some offset to relatively high fixed costs and cyclical end markets that can make operating profits volatile through the cycle, the agency said.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.